Group Limited H1 2009 Results Presentation

Austereo maintains Australian capital city radio audience and sales leadership in 1H10 and wins major share of excess Digital Spectrum at auction.

February 2010 Results Overview

• Michael Anderson concludes CEO term, with Guy Dobson appointed CEO (6th January 2010).

• Sales – 2.8% pcp to $131.0 million in sluggish market. Some signs of market recovery in latter stages of the period.

• EBIT – 4.87% pcp to $45.6 million held in check by ongoing tight controls.

• Net profit of $27.7 million broadly in line with pcp.

• EPS maintained at 8.0 cps.

• Interim dividend maintained at 4.0 cps.

2 Results Overview Continued...

• Challenging economic conditions clear way for AEO to win majority of excess Australian DAB + spectrum at auction for $4.7 million.

• AEO now controls Nationally 27.1% with 25.0% spectrum, 19.6% , 42.9% , 39.3% , 42.9% .

• Much-expanded digital radio and data applications.

• AEO is major shareholder of the rare commodity – strategic and defensive advantage.

3 Results Overview Continued...

• Austereo lifts average audiences by 150,000 to 4,681000* pcp.

• Austereo clean-sweeps commercial FM 10-17, 18-24, 25-39 and 40- 54 demographics*.

• Austereo sales market share rises in final quarter to highest point in December for 1H10. Signs of recovery.

• Leading talent drives Survey 8, 2009* results. – Fox FM Matt and Jo 12.2 #1 – 2Day FM Kyle and Jackie O 11.1 #1 highest in 8 years. – Today Network’s Hamish and Andy Sydney 15.6, Melbourne 22.6, Brisbane 18.3, Adelaide 18.5, Perth 22.4. Biggest show in radio history.

* Nielsen Media Research Survey 8, 2009

4 5 Content – Today Network

• Today Network maintained FM leadership in key breakfast time zone in four out of five capital cities and in drive zone in all cities.

• Outstanding results from marquee talent – Matt and Jo (Fox FM), Kyle and Jackie O (2Day FM), Hamish and Andy (Today Network nationally networked), Botica’s Bunch (Mix FM Perth).

• Focus on live/local/community.

• Young pop/fashion/music market leaders.

• Strong research base to maintain leading edge.

• Highly targeted marketing, reflecting brand values.

• Upside potential B105FM Brisbane – significant Ad market.

6 Content Network

• Triple M Network solid performance in Brisbane, Adelaide and Number One Perth (Mix 94.5).

• Re-build in Melbourne: Eddie McGuire Hot Breakfast increases in Survey 8, 2009. • Re-build in Sydney: Grill Team (Gus Worland lead) anticipating growth.

• Leading under 54 audience AFL and NRL sports coverage – powerful sales and sponsor leverage for new-to-radio clients.

• Iconic Roy and HG drive show.

• Upside potential via Sydney/Melbourne growth prospects.

7 Sales

• Capital city radio ad market declined 2.1%, with signs of a minor rally late term – good signs from Sydney market.

• Today Network sales outperformed pcp and market.

• Top 40 client retention rate of 100%.

• Radio least affected major medium through the turbulence.

8 Online / Interactive

• Unique talent and events drew increased Traffic. – Hamish & Andy Caravan of Courage America. – Roy & HG Podcasts.

• Today and Triple M Networks #1 and #2 in radio websites¹.

• Online unique browsers up 34% pcp to 1.15 million per month¹.

• Video streams up 196% to 1.3 million per month².

• 7.6 million video clips viewed for over 10.5 million minutes².

• Podcasts up 183% to average 4.5 million monthly³.

¹ Nielsen Netratings ² Brightcove ³ AVAZCAST

9 Unique Browsers – Last 12 Months

1,400,000 Unique Browsers - Publisher

1,200,000

1,000,000

800,000

600,000

400,000

200,000

0 Jan 09 Feb 09 Mar 09 Apr 09 May 09 Jun 09 Jul 09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09

Jan 09 Feb 09 Mar 09 Apr 09 May 09 Jun 09 Jul 09 Aug-09 Sep-09 Oct-09 Nov-09 Dec-09 Austereo 818,049 1,007,928 1,244,090 1,195,677 1,176,339 1,102,106 1,212,772 1,300,056 1,253,155 1,079,272 1,144,001 938,953 DMG 297,330 343,890 391,813 382,777 411,585 373,858 388,617 441,830 358,901 386,399 250,141 293,157

10 Digital Radio Update

• ‘Radio United’ – strong industry launch through .

• Radar Radio – first digital radio station continues growth in website traffic – 20% month on month since October 2009.

• Launch ‘Hot 30 Jelli’ – Australian first for radio station controlled in real-time by the audience.

• Content initiatives sold to sponsors – iRiver, Optus and Youi.

• Over 100,000 digital radio units sold – doubling expectations.

• Austereo’s commitment to digital future evident in leading content development and future investment in spectrum.

11 Results Overview Dec 2009

Strong Performance

2009 2008 2007 2006 2005

EPS 8.0c 8.0c 7.9c 7.2c 7.0c

EBITDA Margin 37.7% 38.2% 37.4% 37.1% 36.7%

DPS 4.0 4.0cps 4.0cps 3.8cps 3.6cps

12 Financial Analysis Dec 2009

Dec Dec $m 2009 2008 %*

Sales Revenue 129.2 133.2 -3.0

Other Income 1.8 1.6 +12.5

Total Revenue 131.0 134.8 -2.8

Operating Expenses 82.7 84.5 -2.1 (Excluding depreciation) Profit from Assoc 1.1 1.1 -

*% based on ASX 4D

13 Cost Management

• Operating costs declined $1.2m or 1.9%*

• Employment costs up $0.8m (+2.0%) − Investment in content and premium sales team.

• Brand enhancement down $1.2m due to timing of spend and further efficiencies.

*excluding revenue related & depreciation

14 Cost Management Cont.....

• Other operational costs down, $1.6m (-12.4%).

− Telecommunications, operating leases, recruitment and general office down.

− Maintaining investment in training.

− Unrealised foreign currently losses $0.5 million – expect loans to be wound up by 30 June 2010.

15 Financial Analysis Dec 2009

Dec Dec $m 2009 2008 %* EBITDA 49.5 51.4 (3.7)

EBITDA Margin % 37.7 38.2

Depreciation 3.9 3.5 (10.0)

EBIT 45.6 47.9 (4.8)

* % based on ASX 4D

16 Cost Management

Depreciation

• Up $0.4m (10.0%)*

− Impact of capital programs in 2009.

− Forecast for 30 June 2010 is approx $8.5m

• Borrowing costs down – lower average debt levels, lower cost of funds.

* % based on ASX 4D

17 Financial Analysis Dec 2009

$m 2009 2008 %*

Borrowing Costs 6.2 8.0 (22.0)

NPAT 27.7 27.9 0.6

EPS 8.0 8.0c -

DPS (fully franked) 4.0cps 4.0cps -

*% based on ASX 4D

18 Balance Sheet

Dec June Dec 2009 2009 2008 GEARING Net Debt $m 220.7 219.4 229.4 EBITDA/Interest Cover X 7.9 6.0 6.4

Total Equity $m 672.5 660.6 660.4 Net Debt/Equity % 32.8 33.2 34.7

No. Shares on Issue m 344.8 344.8 345.0

19 Outlook: 2H 2010

• Metropolitan radio Ad market growth for back half will be in gradual recovery. Overall FY10 outcome estimated at better than -1% and with clear positive indicators emerging.

• January sales ahead of pcp.

• Stronger forward bookings for March quarter.

• Radio remains attractive to advertisers with continued audience growth across all demographics.

• Austereo in lead position to capitalise on return of market growth.

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